Stop-production call in Darjeeling rocks tea estates

Sutanuka Ghosal, ET BureauJun 25, 2008, 01.48am IST

KOLKATA: The decision of Gorkha Janamukti Morcha to paralyse tea production at the 87 tea estates in Darjeeling from June 25 has sent shockwaves among tea planters. Worried planters on Monday called an emergency meeting to take a stock of the situation. A decision has been taken to approach Indian Banks Association (IBA) and Tea Board for temporary cash relief for tea estates, to arrest the loss that they are likely to suffer due to the GJM move. Simultaneously, planters have initiated talks with GJM leadership requesting them to review their decision at a time when second flush production, which fetches premium price in the international markets, is in full swing. The 50,000 odd workers at the tea estates with their families would also suffer the consequences of GJM's decision as they too wouldn't get their daily wage of Rs 110. Incidentally, nearly 4 lakh people in Darjeeling hills depend upon tea industry for their survival.

Talking to ET, chairman of Darjeeling Tea Association (DTA) Sanjay Bansal said: "We had called the governing body meeting of DTA to discuss the current political scenario at Darjeeling. If GJM paralyses tea production, Darjeeling planters will face a severe loss. In fact, this year the season has opened on a weak note, with first flush production going down by 30% and prices not as high as they were expected to be.

This is now the peak season for second flush teas, which contributes 40% to the turnover of any Darjeeling tea company. The next two weeks would be extremely critical for the industry. The production loss will not only affect tea companies but also tea workers, who generally earn an additional Rs 50 per day during this peak season for plucking extra leaves." GJM leaders are now beginning to realise that the hill economy will come to a dead stop if production halts at the tea estates. Moreover, such an event during peak tea season, is certainly going to create resentment among the workers too. But having already made an announcement, the GJM leaders are now trying to be diplomatic about the whole issue. The bandh in the hills has also affected exports of tea. Nathmulls Tea Room, one of the landmarks of Darjeeling, has failed to export teas to its clients in Europe, Japan, the US, Canada and the UK.

"DTA secretary Sandip Mukherjee met us in the morning, requesting us not to close down tea operations. Similar requests have come from many planters. GJM leaders are rethinking about it and a meeting has been called tomorrow to analyse the situation, after which we will take a final decision," said Mr Tilak Chand Roka, organising secretary of GJM central committee. The DTA chairman said that planters will talk to IBA so that the association can direct its member banks to give some temporary cash relief to gardens. "We will ask Tea Board to give some relief on green leaf cess for time being," said Mr Bansal.

Sensing that GJM's move might create problems in the hills, Tea Board chairman Mr Basudeb Banerjee took up the matter with state commerce and industry secretary Mr Sabyasachi Sen on Monday evening. Mr Banerjee said: "DTA chairman has informed me about their proposal. I am waiting a formal letter from them." Girish Sarda, director, Nathmulls said: "Shutters are down at our retail outlet. We have failed to explain to our foreign buyers about the situation prevailing in Darjeeling. Our business, both domestic and international, has been severely affected. Our tea resort at Goomtee is lying vacant. Moreover, prices of essential commodities are skyrocketing creating problem for the common people of Darjeeling."